Apple Music for journalism? Apple plans paid subscription service for news

17 April, 2018, 20:24 | Author: Elena Summers
  • US-IT-LIFESTYLE-APPLE

Before News, Apple had had Newsstand, which was essentially a market for purchasing subscriptions to individual magazines and newspapers.

While we don't know precisely when this service will launch, we do know it'll land within the next year which indicates Apple may be gearing up to announce it at WWDC 2018 and launch it formally alongside iOS 12 this fall. Apple intends to release an updated Apple News application with the subscription service integrated, and plans to share revenues with magazine publishers that are in the program.

Apple did not respond to request a comment on the report. Currently, the magazine subscription service allows customers access to over 200 magazines for $9.99 per month for monthly magazines, or $14.99 for premium access to weekly publications.

Apple is planning to launch a subscription based News service that will include access to magazines now offered by Texture, reports Bloomberg. In 2014, Apple spent $3 billion for Beats to jump-start its music services, and $15 million for BookLamp, which was then touted as a "Pandora for books".

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Apple has had limited success with its news services applications.

This ties into expectations of an upgraded Apple News experience within the next year and Apple's lofty goal of increasing profits of its services division by 60% by 2021.

Apple shares took a hit in late March, falling as much as 10.4%, along with many other companies listed on the tech-heavy Nasdaq, after Facebook's Cambridge Analytica data scandal and President Donald Trump's crackdown on Chinese investment in U.S. technology rattled investors.

Which makes sense when you think about it. Apple already makes a decent slice of cash by selling music and video on iTunes, alongside subscriptions for Apple Music, so it makes sense that it would want to expand that to other areas. Texture previously had about 100 staff members. This time, Apple cut roughly 20 people from Texture, including assistants, software engineers, and managers, according to one of the people familiar with the matter.

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